Institutional Model of Integrated Cinnamon Agro-Industry Based on Local Wisdom

Abstract

Cinnamon is one of the leading commodities in Sungai Penuh City. The problem is that the cinnamon commodity has not been optimally managed. There are still many cinnamon commodities that are marketed in the form of raw materials so that they have not yet been produced in optimal competitiveness and added value. This study aims to design an integrated model of cinnamon agro-industry based on local wisdom in Sungai Penuh City. This research was conducted in collaboration with stakeholders in Sungai Penuh City from March to August 2020. The research method uses the Analytical Hierarchy Process (AHP) with a literature study approach, brainstorming, and in-depth interviews. This study's results discuss the factors, objectives, actors, and an alternative institutional model for an integrated and sustainable cinnamon agro-industry according to local wisdom in Sungai Penuh City. Building an integrated model of an integrated cinnamon agro-industry requires local government support through policies.